This is a pretty incremental upgrade and appears to be geared toward enterprises and other users that require large amounts of data.

Also of note in the announcement: the Apple App Store now has 800,000 apps, and 300,000 are built specifically for the iPad. Apple has sold more than 120 million iPads, according to the company.

The new iPad with 128 gigabytes of storage goes on sale Tuesday next week and is priced well above its other iPad models, starting at $799. This is starting to get into laptop territory when it comes to prices — including Apple’s own MacBook Air — but Apple CEO Tim Cook has basically said he’s fine with this. Here’s what he said on the last earnings call:

I see cannibalization as a huge opportunity for us. One, our base philosophy is to never fear cannibalization, if we do someone else will cannibalize it. We know that iPhone has cannibalized some iPod business, we know iPad will cannibalize some Mac, that doesn’t worry us. On iPad in particular, we have the mother of all opportunities because the Windows market is much, much larger than the Mac market. It is clear that it is already cannibalizing some. I believe the tablet market will be larger than the PC market at some point, and I still believe that.

The iPad will be available in both Wi-fi and with a cellular wireless connection, but for all intents and purposes it’s a fourth-generation iPad with a super-high resolution screen. The cellular version will cost $929.

You can see how the new iPad’s price compares to other tablets in the table below. It’s now getting in the range of the Microsoft Surface with Windows Pro, a tablet equipped with a full-fledged version of Windows that’s supposed to be a de-facto replacement for a PC. The Suface also comes with as much as 128GB of storage.